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The average profit of a firm is Rs 4,38,600. Goodwill at 4 years' purchase of this average profit is how much?
ARs 8,77,200
BRs 13,15,800
CRs 17,54,400
DRs 21,93,000
Answer & Solution
Correct answer: C. Rs 17,54,400
Multiplying the average profit 4,38,600 by 4 years gives 17,54,400.
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